Publication
SW Benefits Update – Board Diversity Initiatives Falter in the Courts but Investor Interest is Likely to Remain Strong
Last year, Superior Courts in Los Angeles County invalidated two California statutes requiring specific diversity mandates for California public company boards (Senate Bill 826 “SB 826” and Assembly Bill 979 “AB 979”). The laws allocated a certain number of seats to female candidates and candidates from underrepresented communities. In two separate decisions, the trial courts held that the statutes violate the Equal Protection Clause of the California Constitution by requiring diversity-based “quotas.” While both cases are still on appeal, the Court of Appeals has left the trial courts’ orders in place, enjoining enforcement of either law.
About Snell & Wilmer
Founded in 1938, Snell & Wilmer is a full-service business law firm with more than 500 attorneys practicing in 16 locations throughout the United States and in Mexico, including Los Angeles, Orange County and San Diego, California; Phoenix and Tucson, Arizona; Denver, Colorado; Washington, D.C.; Boise, Idaho; Las Vegas and Reno, Nevada; Albuquerque, New Mexico; Portland, Oregon; Dallas, Texas; Salt Lake City, Utah; Seattle, Washington; and Los Cabos, Mexico. The firm represents clients ranging from large, publicly traded corporations to small businesses, individuals and entrepreneurs. For more information, visit swlaw.com.
